Worldspace India must find local investor

Chris Forrester

Worldspace’s India operation must find a 26% investor if it is to gain approval from the Telecom Regulatory Authority Of India (TRAI).

India’s Minister of State for Information & Broadcasting, Mr C.M. Jatua has confirmed that the ministry has framed a draft policy governing satellite radio broadcasting in the country. The draft policy envisages two levels of licenses/approvals. One will authorize companies to provide satellite radio services in India and to set up the necessary network and infrastructure, including terrestrial repeaters as necessary; while the second will be a separate license for programmers developing radio channels to be carried on such a service.

TRAI sees a 10-year licence being offered to satellite radio broadcasters, with an annual fee equal to 4% of a broadcaster’s gross revenues.

Worldspace is currently in Chapter 11 bankruptcy reorganisation in the US, but its India operation is not affected by the bankruptcy.